One of the best small boutique Mortgage Brokers in California! Client always comes first! CA DRE Lic. No. 01458657

Monday, April 11, 2011

Here’s the Answer I Promised

Here’s the Answer I Promised

Last time I posted about how you might assume that your score would improve since you now have eliminated an account that you could have, in an instant, borrowed against entirely.

I promised an answer. As I said, the reality is different and is two-fold…

First, if this account has been established for many years, let’s use 15 years as an example, and you rarely use it, you would have 15 years of good credit with limited usage. This works in your favor because you’ve got an established account with a long history of good credit. Second, if you have a high credit limit and don’t use this credit, you’ve shown that you have willpower and can refrain from using credit even though it’s staring you right in the face.

Thus, the right thing to do is to keep long standing accounts open even though you don’t use them any longer. I have a suggestion. Stay tuned to my next post!

About Me

Jeff graduated from California State University, Northridge. He obtained a BS Degree in Business Administration in 1991. During and after college, he worked at Bank of America as a Preferred Banking Officer and then, in 1993, joined Automatic Data Processing, Inc. as a District Manager until 1998. While working for ADP, he applied for his real estate license and began working part-time as a loan officer for a mortgage company in Simi Valley. This is where he found his niche in business and a love for an industry that he still enjoys today. He opened his own mortgage company with a partner in 2002 and then branched off on his own in 2004 to open Southern Oaks Mortgage, Inc. (CA DRE Lic. No. 01458657)located in Valencia, CA. He is now a published Author with his new book, "Makers & Breakers: A Simple Guide to a Successful Mortgage Loan".